The Hindu Business Line : NBC picks up 26% in NDTV Networks

New Delhi, Jan. 22 The American media giant NBC Universal is investing $150 million to pick up 26 per cent stake in NDTV Networks, the overseas subsidiary responsible for New Delhi Television’s entertainment and lifestyle channels and digital media ventures.

Announcing the strategic partnership, Mr Jeff Zucker, President and CEO, NBC Universal, told presspersons in a conference call that this was in line with NBC’s goal to grow its business outside of the US, and in particular India.

“India is one of the most important markets in the world and I think it will become more important in the months and years to come. This was another sign of our parent company, General Electric’s commitment to India,” said Mr Zucker.

According to GE India’s President and CEO, Mr Tejpreet Singh Chopra, the company was virtually evaluating all areas in the media space, and media would play a significant role in the company’s growth plans for the country.

The NDTV Chairman, Dr Prannoy Roy, speaking a day after the launch of the general entertainment channel, NDTV Imagine, said, “India is a vibrant economy, alive and kicking, with a media scene that is way ahead of that of many developed countries.”

The $5-billion Indian TV market is growing at 16 per cent, and is expected to reach $9 billion in the next few years, pointed out Mr Peter Smith, President, NBC Universal International.

The deal comes after similar announcements by Viacom (with Television 18) and Turner International (with Miditech) last year. NBC Universal will acquire the stake from NDTV Ltd. The agreement also includes an option, exercisable in two years’ time, for it to increase its stake to 50 per cent in the joint venture company through which it will be investing.

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